Indian shares rise on foreign flow optimism; financials, autos lead

Indian equities ended Wednesday at their strongest closing levels since February 26, with the Nifty 50 up 0.84% to 25,255.05 and the Sensex 0.95% higher at 81,879.4. Business Recorder reported that both indexes have climbed nearly 10% this month, as foreign investors bought almost $6 billion of Indian shares, the largest monthly inflow since September 2024.

Lower crude prices and questions about heavy global AI investment have supported hopes that overseas funds will favour India, while easing US-Iran tensions reduced concerns about oil supply disruption. Banks advanced 1.8% and automobile shares gained 2.1%; analysts expect large-cap stocks to benefit most from foreign buying, and Brent traded near $93 a barrel. IIFL Finance rose 6.3% after Blackstone agreed to acquire a stake of about 16% in the lender.